Derivative Classification Training Practice Exam

What document outlines the sanctions for cleared contractor employees?

1. Federal Acquisition Regulation (FAR)

2. National Industrial Security Program Operating Manual (NISPOM)

3. Intelligence Community Directive (ICD)

4. Office of Management and Budget (OMB) circulars

The correct answer is: National Industrial Security Program Operating Manual (NISPOM)

The National Industrial Security Program Operating Manual (NISPOM) is the correct choice because it provides a framework for the protection of classified information and specifies the responsibilities of cleared contractor employees, including the sanctions applicable to them. NISPOM establishes security requirements and guidelines for contractors involved in classified work, and it addresses the consequences of failing to comply with these security measures, ensuring that all personnel understand the repercussions of their actions in relation to the safeguarding of classified information. Other documents mentioned serve different purposes. For example, the Federal Acquisition Regulation (FAR) primarily governs the acquisition process for federal agencies, while Intelligence Community Directives (ICDs) establish policies for the Intelligence Community but might not specifically address contractor sanctions. Office of Management and Budget (OMB) circulars focus on budgetary and management practices rather than security requirements. Therefore, NISPOM is uniquely suited to outline the sanctions for cleared contractor employees within the context of national security.